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Digitization Week 4

The document discusses the concepts of data, data management, and the importance of modeling in understanding and communicating about business domains. It outlines the structures of information systems, the application of models in data management, and the significance of information quality in relation to specific purposes. Additionally, it emphasizes the need for a clear business case and the challenges of analyzing complex systems in data management.

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0% found this document useful (0 votes)
37 views8 pages

Digitization Week 4

The document discusses the concepts of data, data management, and the importance of modeling in understanding and communicating about business domains. It outlines the structures of information systems, the application of models in data management, and the significance of information quality in relation to specific purposes. Additionally, it emphasizes the need for a clear business case and the challenges of analyzing complex systems in data management.

Uploaded by

Ilion
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Information Representation

What is Data?

Facts (measurements or statistics) used as a basis for reasoning, inference, or analysis. •


Reasoning, inference, or analysis à Value Creation

Data Management
- Definition by Data Management Body of Knowledge (DMBOK):

“Data Management is the development, execution, and supervision of plans, policies,


programs and practices that deliver, control, protect and enhance the value of data and
information throughout their life cycles”.
Understand the Domain (DM Perspective)
Modelling the domain allows us to understand the role of technology and its data
requirements.
What is a model?
• A model is a formal representation of the target domain, using constructs
and construction rules.
We build models to describe a domain in unambiguous ways
• Analysis of existing domain
• Planning or designing a future state
In order to reason about the phenomena in that domain and communicate between
the stakeholders.
• Also used in building a business case (communication)
Using models we can explore, observe, analyze, explain and predict phenomena in
the domain.

And build (or plan/design) artifacts that operate in the domain.

Uses of Models in DM
• Understand the Business in order to Generate Value
• Data Governance
• Integration and Metadata Management
• Improving Data Security and Quality

A More Abstract View of Info Sys


Information Systems are models or representations of real-world phenomena and
applications (Representation Theory).

Information Systems are comprised of three structures:


• Deep Structure: meanings and facts about real world phenomena in form of
data and business rules.
• DM and business process management.
• Surface Structure: features such as user interfaces that allow users to
engage with the deep structure.
• DM and IT management / System Design.
• Physical Structure: the infrastructure (e.g., hardware and network) that
enable the implementation of surface and deep structures.
• DM and (physical) architecture.
Application of Models in DM

Building a Business Case for Data Management


Business Case
Before committing resources, businesses need to have a (somewhat) clear picture of
what the expected costs and benefits are.
• Businesses need to understand the rationale for undertaking an initiative.

Conducting such analysis is challenging as a large part of Data Management fall


under the category of complex systems where an ultimate solution cannot be
analyzed to solve a problem.

Conceptual models allow us to simplify and formalize the complexity.


Business Case – Systems Thinking
To tackle the complexity, systems thinking conceptualizes the problem as:
• System made of interacting components;
• Interactions happen within an environment;
• The systems fulfill a goal.

Two methods to analyze complex systems:


• Soft Systems Methodology including Rich Pictures where the interactions
and roles are modeled.
• System Dynamics where cause and effect relationships among various
variables are studied (using causal loops).
Another Incentive for Business Cases
• Successful: On time, on budget, with all features and functions.
• Challenged: Project completed, but either over time, over budget, or with
fewer features than originally specified.
• Failed Project: canceled at some point during development
Information Quality
Notion of information quality is dependent on application of data
• Example: for financial analysis of Fortune 500 companies, data in units of
thousands of dollars would be sufficient, but for auditing the financial
statements, we need precision to the cent. Overall, information quality is
conceptualized as fitness for use for specific purposes.

Information Quality is usually evaluated in terms of its dimensions:


• Accuracy
- Data represents the correct state of the real world
• Example: Ashley and John have written a test. If we enter
Ashley’s mark for John in the system, the mapping would be
inaccurate.
• Anything other than John’s grade makes the data inaccurate.

• Reliability / consistency
- dependability of the output information, or correctness of the analyzed
data at a more aggregate level.
• Example: average of the course [name] was 73.6% last year
• Timeliness (currency)
- • Example: Financial data are timely as they are updated in real-time
(i.e., without delay) and they are available to retrieve 24/7.
• Completeness
- ability of the information system to represent every relevant state of the
real world system.
-

• From users’ perspective (subjective): ease of manipulation and value

Data Abstraction Levels


Data codifies what we know about the world in form of facts used as a basis for
reasoning, inference, or analysis.

• Conceptual Level:
• Used for understanding and communication regarding a specific application
domain and is usually technology-agnostic. As in most business cases, it models
business concepts and their relationships.
• Logical Level:
• Deciding how to structure the data so that it becomes suitable for the
application in the information system.
• Physical Level:
• Considers how data is stored and transmitted between systems and takes
the technology infrastructure into consideration.
Logical Level
Traditionally, structure on data is defined in form of classification:
• Classification is an abstraction mechanism used to represent phenomena
with common properties.

Classes are supposed to provide cognitive economy:


• Maximize the information that can be inferred about the phenomenon
(Parsons and Wand 2012).
• Example: “all the items in my office”. Not much can be learned from
this definition à Not a good class
• Example: “Birds”. Additional properties that can be inferred on top of
the basic definition. Birds are bi-pedal, have beaks, lay eggs, …
• In other words, it indicates that additional relationships exist
between these properties.

Theoretical Background on Classification

- Classification is not inherent to real world phenomena, but is an artifact of the


human mind.
- Classes are created in order to comprehend phenomena by grouping them
based on similarity (Lakoff 1987).
- Schema theory (Derry 1996): humans form mental models to construct an
understanding of the phenomena they observe. Learning is a form of active
construction of mental models.
- Referring to heuristics and decision-making (Tversky and Kahneman 1974),
classes are cognitive shortcuts that act as heuristics.
- In short: There is no “one” correct classification. Classifications are tailored to
individuals and aid in their learning.

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